An investor purchases 200 shares of xyx stock for 5500 a


Question -

1- An investor is considering a bond that currently sells at a discount ($953) to the face value of $1,000. The coupon rate is 9.25% paid annually. If there are 15 years left on the bond what is the yield to maturity?

2- Find the Yield-to-Call on a Semiannual Coupon Bond with a Price of $1085, a Face Value of $1000, a Call Price of $1067.5, a Coupon Rate of 6.75%, 18 years remaining until Maturity, and 11 years remaining until the Call Date.

3- An investor purchases 200 shares of XYX stock for $55.00 a share and immediately sells 2 covered call contracts at a strike price of $60.00 a share. The premium is $3.00 a share. What are the maximum profit and the maximum loss?

Please show the computations for the questions in an excel sheet. Thanks.

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Accounting Basics: An investor purchases 200 shares of xyx stock for 5500 a
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